Nearby canola futures edged lower Thursday, pressured by the stronger loonie and weaker soybean prices.
Traders were also adjusting positions ahead of the Statistics Canada final crop production report of the year to be released Friday. Traders expect it will increase the canola production estimate by about seven percent from its last report in early October.
Soybeans fell on profit taking despite the fact that weekly U.S. soybean exports were more than expected.
Equity markets climbed and the loonie rose a full cent against the U.S. dollar, as traders grew confident that the European Union will work out a solution to its debt problems and attention shifted to the reviving hopes for stronger global economic growth.
Wheat prices rose again on continuing worries about rain damaging Australia’s harvest and dry conditions in the U.S. hard red winter wheat region.
In Winnipeg, the January canola contract fell 40 cents to $547.10 per tonne on 8,500 trades. Earlier in the day it climbed as high as $553.30.
The March contract fell 80 cents to $553.30 on 4,184 trades.
The November 2011 contract rose $1 to $506.70.
The January contract 14-day Relative Strength Index was 58. The rule of thumb is an RSI of 30 indicates an over sold market and 70 indicates an over bought market.
December barley futures were steady at $188 per tonne. March was steady at $190.
Chicago January soybeans fell 3.25 cents to $12.7975 US per bushel.
December corn rose 11 cents to $5.4075 per bu.
December oats fell 6.25 cents to $3.61 per bu.
Minneapolis hard spring wheat rose nine cents to $7.9325 per bu.
In New York, crude oil for January delivery rose $1.25 to $88 US per barrel.
The Canadian dollar at noon was 99.54 cents US, up from 98.43 cents the previous trading day. The U.S. dollar at noon was $1.0046.
The TSX composite index rose 15.18 points to close at 13,163.53. The Standard & Poor’s 500 rose 15.45 points to 1,221.52.
